$7 Million Settlement reached in Whistleblower case with Alta Colleges

Date Filed:

Monday, April 20, 2009

Settlement Amount:

$7,000,000

A settlement has been reached in a whistleblower class action lawsuit brought against Alta Colleges who is accused of submitting false claims for federal student aid funds.

Alta Colleges and its schools in Texas have agreed to pay $7 million to resolve claims it obtained student aid funds under false pretenses, federal officials said.

The federal suit was initially filed by unnamed whistleblowers who will receive $1.19 million in the settlement.

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$7 Million Settlement reached in Whistleblower case with Alta Colleges

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